What type of
plans are
available?
There are
many
choices, but
most
individual
plans fall
into these
categories:
Major
Medical -
Typically
referred to
as Preferred
Provider
Organizations
(PPOs).
These plans
offer broad
coverage
through a
contracted
agreement
between the
insurance
company and
the health
provider.
Short Term
Major
Medical -
Very similar
to the
aforementioned
Major
Medical PPO-type
plan, but
typically
purchased to
provide from
one month to
twelve
months of
temporary
medical
coverage.
Indemnity
Plan - Also
known as
"reimbursement"
plans. These
plans allow
you to
chose your
own doctors
and
hospitals.
The plans
pay a set
amount to
you for
medical
expenses
allowing you
the freedom
of using the
benefit any
way you
want.
HSA-Qualified
High
Deductible
Health Plan
- Similar to
Major
Medical, but
you can take
contributions
from your HSA for
eligible
health care
expenses
tax-free:
Having a
qualified,
high-deductible
health plan
(HDHP) in
place is a
requirement
under
IRS code 223
to make
contributions
into a
Health
Savings
Account.
HDHP is
simply the
acronym for
the
qualified
health
insurance
plan.
Contact us
for your
health plan
options
before you
attempt to
open an HSA.
Annual
contributions
are limited
to the
amount of
your
deductible
but not to
exceed
$2,7 50 for
an
individual
and $5,650
for a family
plan. Your
own HSA
contributions
are
tax-deductible.
Whatever
money you
deposit in
your HSA
will roll
forward from
year-to-year
so you will
never lose
your
contributions.
The IRS will
penalize
excess
contributions.
Interest
earned on
your account
is tax-free.
You can take
deductions
from your
HSA for
eligible
health care
expenses
tax-free.
All
other
deductions
prior to age
65 are
subject to a
10% penalty
by the IRS.
It is
recommended
you retain
all medical
expense
receipts.
Withdrawals
for
qualified
medical
expenses are
tax free.
Eligible
health care
expenses
include the
charge for
payments for
the
diagnosis,
cure,
mitigation,
treatment,
prevention
of disease,
treatment
affecting
any
structure or
function of
the body,
prescription
drugs,
nursing
services,
qualified
long term
care
services and
Medicare
premiums.
The list of
qualified
expenses is
extensive -
contact us
for an
updated
list.
Eligible
expenses do
not include
funeral or
burial
expenses,
health club
dues,
over-the-counter
medicines,
toiletries,
cosmetics, a
trip or
program for
the general
improvement
of your
health or
most
cosmetic
surgeries.
Your Health
Savings
Account is
portable.
You own the
HSA and it
is yours to
keep - even
when you
change plans
or retire.
You long as
you
medically
qualify you
can switch
insurance
plans
anytime and
retain all
your
contributions
to your HSA.
Individuals
under 65
years old
are eligible
to open an
HSA.
How do I chose
the best
plan for me
and my
family?
Look for
these key
features:
Hospital:
The policy
should
adequately
cover your
room and
board plus
any
miscellaneous
charges
while
hospitalized.
Surgical:
This benefit
pays your
surgeons'
fee plus
related
costs such
as
anesthesiologist.
Physician:
Pays for
visits by
the doctor
while
confined in
the hospital
or on an
outpatient
basis.
Ambulance
Transport:
Pays for
ground as
well as air
transport to
the
hospital.
Catastrophic
Coverage:
The plan
should pay a
high
lifetime
maximum to
protect you
against
financial
ruin in case
of a
catastrophic
illness or
injury
Co-insurance
Maximums:
Commonly
know as a
"stop loss"
- the plan
pays 100%
above a
certain
amount
therefore
limiting
your
financial
exposure to
a reasonable
amount.
I am still
confused
about all
the choices
- how do I
select what
is best for
me and my
family?
That is
where we
come in! We
are licensed
insurance
consultants
specializing
in finding
the best
insurance
available at
an
affordable
price for
self-employed,
independent
contractors
, small
business
owners,
individuals
and their
families.
|
-
It is our job to work directly with you to find the right policy, with the right coverage, at the right price for you and your family.
|
